NEW DELHI, April 9 -- The Reserve Bank of India (RBI) on Wednesday, 7 April, kept interest rates unchanged, but committed to a massive government bond purchase programme, keeping its monetary policy accommodative amid concerns that a rising second wave of covid infections could disrupt economic recovery.
The RBI's monetary policy committee decided to leave the repo rate, its key lending rate, unchanged at 4% and the reverse repo rate, its borrowing rate, at 3.35%.
The central bank has cut the repo rate by 115 basis points (bps) since the pandemic first struck in March 2020, extending an earlier easing cycle. One basis point is onehudredth of a percentage point.
"The stance of monetary policy will remain accommodative till the prospects o...